Team Hanks Real Estate Related News

My Blog

Dual Agency? Whats in it for ME?

10/19/2018

So a dual agency relationship is one where the buyer and the seller are represented by the same real estate agent.  In a Brokerage the Managing Broker is considered the Dual Agent if one of his agents represent the Seller and another represents the Buyer.  A client is suppose to understand Dual Agency  with his agents help and  from reading this document …(REF_ Agency Disc)…..  This is an Oregon real estate initial agency disclosure pamphlet……… By Oregon law……….. this pamphlet is supposed to be given at first contact with the potential client………… and it doesn't matter If the contact is by phone Internet in person or by pigeon the law remains the same…………….. Now right off the bat I see a problem here……….. An agent might think he has fulfilled his obligation to this law by attaching a URL link in his email signature……. But has the client opened it one read it two and understands it three…… The same problem exists though if I actually put it in the hands of a client is he going to really read it?  ……… is he going understand it?………… I'm sure that every agent makes an attempt to sit down and explain the contracts with their clients but in that short conversation have we done the client justice with regard to his understanding of dual Agency.  Sometimes I wonder.  Thats why we decided to make this a point of discussion in our series of videos directed to new clients.

Now I feel like I have to tell you that on a personal level I do not particularly like this dual agent law………..In my humble opinion It puts too much pressure on the real estate agent and seems biased to the seller side………. There are times where a dual agency might seem like a good idea ………  one example would be when working with some of the bank owned properties………… In a bank owned transaction the buyer is going to sign a document that acknowledges the transaction is biased in the seller's favor that document that says the bank knows nothing about this property and the buyer is buying it at his own risk……………. Usually they'll add a statement that says the buyer's only recourse of action is to get his earnest money back. And you will be required to sign this document or you won't be allowed put an offer in on that property. …….Thats Bank owned …. The seller holds all the cards ……..The buyer knows his risk …… he knows its a one sided transaction…… he knows the deal is biased toward the Sellers Side. Buuuuuuuut,…….. if more than one offer come in on this property and I have a buyer in a group of buyers who have put in an offer ……. I  do not want to be a Dual Agent I don't want the other buyers agents pointing the finger at me and saying that I gave an advantage to my own buyer if my buyer ends up with the highest and best offer and walks away owning the property. ……..  We’ve turned down a lot of business because of this law…….. Its just something I prefer not to deal with. ……. Do I usually sub it out to another agent……. There might be other scenarios where Dual Agency might work out — close family members …… Dad is the Sellers Son is the Buyer……. But I have seen deals like this cause major family problems. ……… I wouldn’t want to be the agent caught in the middle of a Family Feud. Bad bad bad.  …….Some folks say Dual Agency will smooth things out in the transaction because there are less people to deal with.  One less person to deal with Scheduling, waiting on calls, Etc.   I can see where it could smooth the deal out - I mean its common sense ….. unless either the buyer or the seller  starts to think the agent was biased to one side……..  Poor agent if that happens.  …….Hes going to have a  heck of a  problem…..

OK why do we even have Dual Agency anyway?  Well there are some people that still think its an ok idea.  epresents both the buyer AND the Sellers side of the deal he gets all of the commission.  ……..Some Sellers think its OK because they can usually get a better commission rate.  He and his agent work out a special discount if his agent brings a buyer.   But let me throw out a thought. ……   A listing agent gets a listing……..… it may have came from a referral through a mutual friend, it might be a past client it might be that that agent just called him and asked if he would like to sell his home The listing agent and the buyer are going to have several meetings, they are going to decide price together……..they are going to discuss staging, marketing, and all other facets of listing and selling the home….. they might even become good friends.There is a relationship that builds simply because we are human and its in our nature…………Now months after the initial contact between the Seller and his Agent, a potential buyer comes into the picture is that agent going to have the same relationship with the buyer as he has developed with the Seller?  ………..  Is the Buyer disadvantaged in this case?  Its something to consider isn’t it?

I want to thank you all for hanging in there.  Please bump that like button on your way out. Come see us at hankshomes.net Take Care of yourselves….. thanks for listening.

Let's Talk Money with Jay Couron of Umpqua Bank

10/19/2018
Let’s Talk Money  with Jay Couron

Hey guys this is Gorden Hanks of team Hanks and Berkshire Hathaway Home Services ……….we’re your family of Real Estate Professionals for Oregon……….Today we have a special guest.  Jay Couron is going to join us to discuss the money side of Real Estate …………….But before we get started………….. just in case you don’t know me.......I started in real estate about 14 or 15 years ago ……..and after I got busy I hired the best person I could think of to help out ……and That was my wife Gail…………After we got even busier we asked our daughter Shalisa to help……….  Team Hanks was born……………We’ve been blessed with a lot of successes in Real Estate. ………………Over the years we’ve listed and sold hundreds of homes……..We’ve encountered a myriad of Financial Questions about Real Estate In Oregon…….. Im a firm believer in leaving it in that hands of the professionals so invited a Lending Ninja to help me out……….  Before we get Jay on here please tag someone you know that may be considering buying a home - this show is for them. ……….. As always we appreciate the hearts….. likes and wow faces……. so feel free …….  Feel free to comment as well and……..even in the youtube rebroadcast……… If you have questions please ask away in your comments………. we will get back to you one way or another……….Now…. lets get to it 

Hi Jay, Thanks for joining us.

Jay, can you tell us a bit about what it is you do?

If Im a first time buyer and I plan come to see you about a loan what should I expect?  DO I need to bring anything to our first visit?

OK I know there are more than one type ype of loan. Can you tell me what is a government loans?  Whats the difference between USDA, FHA and VA loans?   Interest rate for each?

So I don’t need 20% down to buy a home?

Whats a conventional loan?  

How do you figure out which loan is best for me?

So the condition of the home matters?

What is a rehab loan?

So Interest rate changes?  What causes rates to go up or down?

So is this a good time to buy a home?

Is there a way I can get a loan on my current home to buy another investment property?

Does it still take 7 years after bankruptcy to get a loan?

Thank you Jay for being here I really do appreciate it.

 

 

Look folks, Selling real estate is complicated………. there is a lot of emotion involved…….. it's involves a lot of money ……….. it's not something you do every day;…………. all of these things lend themselves to the importance of working with professionals. You can work with whomever you wish.    I have a good history with Jay so when you ask me who you should use, I will give you a list of lenders and his name will be on it.  But as always, the decision is always yours as to who will manage your transaction.  Thanks for visiting us - hit that like button on the way out.  See the full video series at www.hankshomes.net. Subscribe to Team Hanks on Youtube …. take care and Blessings everyone.

 

Listings; Don't Try This at Home!

10/7/2018
Video Script from Listings; Don’t try this as home on Team Hanks Youtube Page

Hey guys this is Gorden Hanks of team Hanks and Berkshire Hathaway Home Services. We’re your family of Real Estate Professionals for Oregon. Today we’re going to discuss some of the pitfalls of selling your own home. But before we get started, just in case you don’t know me I started in real estate about 14 or 15 years ago and after I got busy I hired the best person I could think of to help out that was my wife Gail. After we got even busier we asked our daughter Shalisa to help.  Team Hanks was born. We’ve been blessed with a lot of successes in Real Estate. Over the years we’ve listed and sold hundreds of homes. I’ve seen some ugly things happen from a listing agent stand point and it always makes me scratch my head when I see that someone had decided to list their own home.  

WHY NOT LIST YOUR OWN PROPERTY?

   Sharias

Reason 1)    ITS JUST EASIER TO USE AN AGENT

A lot of people don’t realize how much work goes into selling a home. Making appointments answering questions, doing the Advertising, holding open houses , monitoring the Internet reports. It’s all normal for an agent and they’re good at it or they don’t survive. Imagine coming home after working hard all day and now you have to straighten up the house you have an appointment a 5:30 and another at 7 and in two days you have someone that needs to see the house when you are not here.  How are you going to manage that? Then after weeks of dealing with strangers coming into your home all the marketing and open houses, all the questions, and buyers picking your home apart you finally get an offer.  Ahhh, finally it’s over. Now you can relax. ohhhhhh noooooooo………. Now you have to deal with inspectors, an escrow company, an appraiser, insurance companies, addenda, deadlines, repairs, not repairs, contractors. It’s an awful lot to deal with - save yourself ….. hire an agent. 


2)  YOU INCREASE THE CHANCE OF SELLING YOUR HOME BY USING AN AGENT

Buyers agents are less likely to show your property ………… The buyers agent already has a mindset of what the seller is like……………. That seller is going to be hard to deal with AND….. he’s emotionally connected………….. The agent knows that typically that seller has little or no knowledge regarding the contract. …………. He knows in short that it’s likely to be a nightmare. ………..And although he will show your home if thats what his buyer wants………….. He can also introduce a buyer-broker agreement that makes sure he gets paid……………Because let’s face it…………..the bottom line reason a Seller will do for sale by owner which…. by the way ……subjects him to increased risk …is he thinks he’ll save some money…………….  In the last episode I told you that a seasoned….successful buyers agent is a trained negotiator……….. They’ve likely had formal trading………. A seasoned agent knows how to keep the table scraps and walk away from the table with a win for his client. ………. Do you really want to haggle with an experienced negotiator that knows you don’t like him? ……….. lol  Look ……I’m playing a bit ……….But Don’t exclude yourself from the people who do this everyday………. Hire a Listing Agent to list your property

           


3) ITS A RISKY BUSINESS.The last thing I wanted to talk to you about today is risk……………. When I first started in Real Estate….. the contract was a simple six page document (If memory serves) ………….then it was 8 …..then 9 ….. now its 13 pages and that is just the Agreement itself……………. That doesn’t include the disclosures…… the inspection Addenda……..the appraisal,……… the title information,…………the lenders contract and so on….… These days a real estate file averages thicknesses from one to three inches of paper………….. I have seen them up do 5 inches thick and its getting thicker………you know how it got so big???   …..Lawsuits baby! …….. Lets face it ……..Real Estate is risky business……… One tiny little mistake could cost you thousands and thousands of dollars………..Protect yourself………..Hire an agent to list your property………Its the least you’ll pay for representation if things get ugly Look ……. selling real estate is complicated………. there is a lot of emotion involved…….. it's involves a lot of money ……….. it's not something you do every day;…………. all of these things lend themselves to the importance of having a professional manage the sale of your home….…… minimize your risk……….protect your money……. make it easier on yourself ………. hire a Real Estate Agent to handle your Listing; Do not try this at home.  On Your Own - By Yourself.   lol


Next week your really gonna want to tune in ……we’ve stumbled onto a subject that has hit a nerve with some of our viewers. ………..So whether you’re a buyer or a seller. ……….New or experienced. ……….Or even if your a real estate agent…… You’re gonna wanna watch this one.

New Buyers - Realtors; Who Needs 'em? YOU DO!

9/28/2018


Video Script from First Time Buyers Live Q&A from Team Hanks Youtube Page


Intro

Hey guys this is Gorden Hanks of team Hanks and Berkshire Hathaway home services we are your family of real estate professionals for Oregon.  Today we’re going to discuss some of the more common questions we get from first time homebuyers. 

But just in case you don’t know me.......I started in real estate about 14 or 15 years ago and after I got busy I hired the best person I could think of to help and That was my wife Gail. After we got even busier we asked our daughter Shalisa to help.  Team Hanks was on.

We’ve been blessed with a lot of successes in Real Estate. Over the years we have talked to a lot of First time buyers and we run into several questions that we hear over and over.  But before we get the Questions and answers , you may want to tag someone you know that is considering buying their first home.  This show is about them. 

We appreciate the hearts, likes and wows. So feel free to comment.  Even in the youtube rebroadcast... If you have questions please ask away in your comments.. we will get back to you one way or another. 

Me Purp

I had this question from our YouTube site from Mr Volstat and it plays right into our show........he asked, “ what is the difference between a buyers agent and the seller’s agent they are both commissioned Sales agents aren’t they? And yes Mr. Volstat you are correct, and if both the Buyer and Seller agree, then one Agent can represent both in the state of Oregon. That is called a Dual Agency. My Team and I prefer not to be dual agents. It’s not even legal in some States so you might want to check on a local level As an agent, I would prefer to represent the interests of either the Buyer OR the Seller but not both at the same time. So the answer to your question is this ……… the non-Dual Agent Listing Agent will represent the interests of the Seller only.  A non-Dual Agent Buyers agent will represent only the Buyers interestd. But some people say why do I even need an agent at all? Why not just do it myself. Well let’s get to it!

 1)  Its just easier.  

 An Agent knows where all the properties  are, the easiest way to get there and will have a means to get inside the property.  He’s going to take you to see them. He’s going to make your showing appointments, he’s going to facilitate and coordinate the inspections, field the questions from the Title Company and other agents.  a seasoned Agent is going to know the septic inspector the home inspector, the appraiser, the lender, the opposing agent, the title companies, the insurance agent. Let him play the phone tag with all those people. 

Just make it easier for yourself ……. use an agent.

 2)  Second reason. Smoothing things out.

 The agent is a third party that can eliminate bad blood. A real estate transaction is a really big deal fueled by a big mix of emotion, ego and large amounts of money. If you want to test the limits of a relationship that’ll do it. I’ve seen a real estate deal rip a family apart and its really sad to watch.  Not just husband and wife but mother and daughter father and son. I’ve seen the toll it takes on people and I’ve seen it tear people up. The realtor can buffer those situations and eliminate the problem before it comes to a knife fight and people end up in court  duking it a with a loved one

So keep your family intact.  Hire an agent. 

 3) Third reason. Negotiations

 A seasoned, successful agent is a trained negotiator.   They’ve likely had formal trading. A seasoned agent knows how to keep the table scraps and walk away from the table with a win for his client. He’s likely going to save you the amount of money it would cost if you hired home for his services. But you don’t have to hire him. If you remember from our last episode the buyer does not pay for his agents services the seller does. So the real estate agent is the best negotiator the buyer never paid for. Save some money use an agent

 4th reason: Inexpensive representation.  

 Real Estate agent has a fiduciary relationship and by law is bound to act in the best interest of their clients. That work fiduciary comes from the latin word fidere which means simply to trust. So your agent is legally bound to have a trusting relationship with you. It is the same relationship that the law expects of an attorney. A fiduciary relationship. Some buyers will say well I’ll just hire a lawyer if I need representation. I can safely say you will need representation …… at the beginning, during and and sometimes years after the Real Estate transaction. A lawyer on a retainer is probably going to cost you way more than an agent…….and unless he is a Real estate Attorney he probably doesn’t know as much as a seasoned agent. And may the good Lord have mercy on you if an attorney has to represent you in court. You might not ever recover from the costs. When an agent represent you as a buyer he will typically get paid 3% and the SELLER PAYS THAT.  

So get yourself a qualified Buyers agent to represent and help protect your interest in the transaction

5th reason:   The contract.  

 Did you know that you can actually write a Real Estate contract on a napkin and the Courts would respect it? It sounds silly but its true. But……. is that really a wise thing to do?  …….When I first started in Real Estate, the contract was a simple six page document. (If memory serves) then it was 8 then 9 now its 13 pages and that is just the Agreement itself. That doesn’t include the disclosures, the inspection Addendums, the appraisal, the title information, the lenders contract and so on….… These days a real estate file averages thicknesses from one to three inches of paper. I have seen them up do 5 inches thick.  One tiny mistake or omission could cost you thousands of dollars.  In some states an attorney will handle the disclosures so if your listening to a rebroadcast from somewhere other than Oregon you will want to check on a local level. But in Oregon the disclosures are handled by the agents, the Buyer and Seller. You know how contracts grow? Lawsuits!.     It took a lot of lawsuits to get from 6 pages to 5 inches.  When you get into that difficult situation it can really pay to have a Professional on your side. The state requires that an agent be trained on the contract and have continuing education.

Do not try this yourself … Hire a Professional Real Estate Professional to help you with that contract.

 The real estate transaction is complicated, there is a lot of emotion involved, it's expensive, it's infrequent; all of these things lend themselves to the importance of an intermediary…… Minimize your risk, save some money, make it easier on yourself ………. hire a Real Estate Agent

First Time Real Estate Homebuyers Advice

9/25/2018


Video Script from First Time Buyers Live Q&A from Team Hanks Youtube Page

Gorden

Hey guys this is Gorden Hanks of team Hanks and Berkshire Hathaway home services we are your family of real estate professionals for Oregon.  Today we’re going to discuss some of the more common questions we get from first time homebuyers. 

 

But just in case you don’t know me.......I started in real estate about 14 or 15 years ago and after I got busy I hired the best person I could think of to help and That was my wife Gail. After we got even busier we asked our daughter Shalisa to help.  

 

We’ve been blessed with a lot of successes in Real Estate. Over the years we have talked to a lot of First time buyers and we run into several questions that we hear often. Thats what we’re going to discuss. But before we get the Questions and answers, you may want to tag someone you know that is considering buying their first home.  This show is about them. 

 

We appreciate the hearts, likes and wows. So feel free to comment.  Even in the rebroadcast... If you have questions please ask away in your comments.. we will get back to you one way or another. Even if its in the rebroadcast. 

 

My Nephew asked me a question a while back.  It reminded me that there are a few questions that we get asked over and over again by first time buyers.  So we decided to create a video and make it available for all first time home buyers. 

 

The first question we hear a lot is “What is the first thing I should do?”. …. So the most important thing I can tell you This — if you are not independently wealthy and most first time home buyers are not, the first thing you need to do is talk to a lender.  Your lender will be happy to help you put a deal together - thats what they do.  A good lender will talk to you about which loan type is best for you. They  will help you figure out if you need a down payment or not.   They’ll help you find out what you can afford and help you figure out what your monthly payment will be.  So have that conversation with the Lender . and when you are ready to purchase your home ask the lender for pre-qualification letter. It will give you more gravity when you submit your offer.  So first thing to do is Talk to a Lender.

 

Heres another question we get a lot …. “Is the home financeable?”…. This is a tough question for a real estate agent because we are in the business of transacting real estate and not so much financing it.  If the home is in tip top condition it will be easier to get a loan on it. If the home needs a roof, has dry rot and needs windows its going to be harder to get a loan.  Also you have to consider the type of loan you are planning on getting.  A home in excellent condition will likely work with a VA or USDA. IF the home is not in good shape, you might have to get a ReHab loan.  There are a lot of things to consider when you ask if a home is financeable.  Ultimately, only the lender will be able to answer that question firmly after the appraisal has been done.




 KNM




Here’s one that always concerns me …. “Can I use the Listing Agent as my Buyers agent?”

The short answer is yes, you can. But wouldn’t you rather have your own representation?  Wouldn’t you rather deal with an agent that is representing your side of the deal only?  Wouldn’t you rather work with an agent that can show you as many homes as you agree to look at instead of an agent that is only interested in Selling you one home?   There is plenty of online info on how to find an agent.  But I would recommend you find a reputable agent you can work with that knows the area and doesn’t mind getting out of the office to show property.

 

The next question I get is “How much do you charge to represent me as a buyer?”…. and the answer is ……nothing.  The services of the Buyers agent are paid for out of the commission that the Sellers has agreed to pay his own agent.  Now, there will be closing costs and they are calculated through the title company handling the transaction. Lender fees, title and recording fees, taxes, Insurance  etc…. that would be considered closing costs.  They will vary from transaction to transaction and are typically added to the loan unless Buyer and Seller agree to something else like Seller Pays the Closing Costs. 

 

Another one came in just recently that I have head before and that is do I really have to have 20% down? No not necessarily. 20% down is usually associated with a particularly loan type. You should know that it is possible to get a loan with 0 down if you qualify. Again talk to your lender and get that preapproval letter before you do anything else.

 

Conclusion.... this is likely the largest investment you’ll ever make in your life sooo of course you’re going to have questions.... so ask away.    Post in the comments and we’ll get back to you……. Sign up on our business page at Facebook.com/teamhanks to get announcements for our next show which will be next Friday at 7pm.  Check out our youtube channel ……. and if you want to actively search for a property then sign up on our property watch at Hankshomes.net  But more than anything be blessed and thanks for listening   Bye Now

Page:  of 000  |